Indonesia Energy Ministry to set new tariff scheme for renewables

Indonesia Energy Ministry to set new tariff scheme for renewables

The Indonesian Energy and Mineral Resources Minister Ignasius Jonan said the
ministry will soon issue new ruling on new tariff scheme for renewable
energy.

He said based on the planned new scheme, the tariff for renewables will be
set at no higher than 85% of the basic production costs (BPP) of the
renewables in respective regions.

As a consequence, the tariff will be different between one region and
others.

The Indonesian government is embarking on developing 35 GW power plant
program. Portion of this will be renewables. The government has set target
that by 2025, 23% of energy mixed will come from renewable energy.

On Monday, the National Energy Council (DEN) decided to maintain the target
to complete the 35 GW installed capacity of power plants by end of 2019.

PLN expects 26,000 MW of power plants will commence commercial operations by
end 2019. Of these 20,000 MW has signed power purchase (PPA)agreement with
PLN.

Industry players however has criticized PLN for its inconsistency in
carrying out project tenders.

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Link to Original Article:
https://www.rambuenergy.com/2017/01/indonesia-industry-ministry-to-set-new-t
arrif-scheme-for-renewables/

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John Diecker
APT Consulting Group Co., Ltd.

www.aptthailand.com